Graceride appeals for Medicaid reimbursement to support Pueblo's transportation services

In a pivotal moment for Pueblo's healthcare landscape, Graceride Medical Transportation's CEO, Frazier Gobina, addressed the City Council on May 12, 2025, highlighting a critical funding crisis affecting medical transportation services in the community. Since August 2023, Graceride has not received reimbursement from Medicaid for essential services provided to vulnerable populations, including those needing transportation for cancer treatments, dialysis, and addiction recovery.

Gobina emphasized the dire consequences of this funding gap, stating that the lack of reimbursement has left many Medicaid recipients stranded without access to necessary medical appointments. "We get thousands of calls from Medicaid recipients that are now left without any form of transportation," he said, underscoring the urgency of the situation. The company has invested nearly $2 million into the Pueblo community since its arrival in 2023, employing around 75 to 80 local drivers and staff.

The issue stems from a statewide investigation by the Health Care Policy and Financing (HCPF) department, which has affected approximately 275 non-emergency medical transportation providers across Colorado. While Graceride has been cleared of any wrongdoing, the ongoing lack of reimbursement continues to jeopardize its operations and the health of the community.

Jason Wilson, CEO of Colorado Secure Transportation, joined Gobina in the appeal, stressing the broader implications for behavioral health services in Pueblo. He pointed out that patients discharged from mental health facilities often find themselves stranded without transportation back home, exacerbating their crises. "Every one of the clients we pick up... their first question is, how am I gonna get home?" Wilson noted, highlighting the need for reliable transport services to support mental health treatment.

Both leaders proposed a significant investment plan to HCPF, aiming to establish Pueblo as a headquarters for expanded transportation services across 20 counties, which could create hundreds of jobs and enhance access to healthcare. They urged the City Council to support their efforts in resolving the reimbursement issue, emphasizing that the future of healthcare access in Pueblo hinges on the community's backing.

As the council deliberates on this pressing matter, the potential for economic growth and improved health outcomes for Pueblo residents hangs in the balance. The outcome of this discussion could reshape the landscape of medical transportation and healthcare accessibility in the region.